Bank of America May Offer Account with No Overdrafts on All Transactions

Bank of America May Offer Account with No Overdrafts on All TransactionsRegulators helped protect consumers against abusive overdraft fees tied to bank debit cards two years ago, but such penalties still persist if you overdraw funds on checks, automatic bill payments and other transactions.
Bank of America is considering a new account that will prevent customers from withdrawing more money than they have in their checking account — thus avoiding fees that can average $35 per hit.
For more than two years, the Bank of America’s checking accounts — and those of most other big banks — have not allowed customers to overdraw funds at the “point of sale,” or when using a debit card tied to the bank’s account at a store.
The new BofA account would continue to prevent overdrafts at the point of sale, but it would also prevent them from occurring via other transactions, including ATM withdrawals, automatic bill payments and checks.
Bank of America has not released specifics. The Wall Street Journal first reported the news, but a the bank is not getting rid of overdraft protection completely. This new account would be another option for customers.

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